Target Pays $2.8 Million to Resolve Discrimination Charge

By Chelsey Dulaney 

Target Corp. has agreed to pay $2.8 million to settle a charge that it used assessments that discriminated based on race and sex during its hiring process, the U.S. Equal Employment Opportunity Commission said Monday.

The EEOC found reasonable cause to believe that three assessment tests Target formerly used during its hiring process disproportionately screened out applicants for exempt-level professional positions based on race and sex.

The tests violated the Civil Rights Act of 1964, the EEOC said.

The EEOC also found that an assessment performed by psychologists during Target's hiring process was a pre-employment medical examination, violating the Americans with Disabilities Act, which prohibits employers from subjecting applicants to medical tests before an offer of employment.

In addition, the EEOC found that Target failed to maintain sufficient records to assess the impact of its hiring procedures.

The settlement will go toward the individuals adversely impacted by the hiring process.

Target has discontinued use of the tests and made changes to its applicant tracking systems to make sure its keeping enough data to assess adverse impact. Target has also agreed to bring in an outside consultant to provide training.

A representative for Target didn't immediately respond to requests for comment.

Write to Chelsey Dulaney at [e-mail]

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(END) Dow Jones Newswires

August 24, 2015 13:46 ET (17:46 GMT)

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